By: Dr. David Rice
Buying a dental practice is multifaceted and as a buyer, you need to navigate through various aspects of potential purchases to make your most informed decision.
I want to talk about one of the best lenders like Provide … and one that’s often overlooked …
Get to Know the Dental Practice Team Before You Sign!
We’re in the relationship business. With an introduction, you have an open, honest start with the people who define a significant portion of what you’re paying for … goodwill.
Without an introduction, you don’t quite know who is who, who is happy, unhappy, planning on leaving, who should … when and why. We’re going to delve into the significance of team introductions
in dental practice acquisitions and why you as a buyer should push for this introduction.
The Importance of Goodwill in Dental Practice Acquisition
Goodwill is a term often associated with the value of a business beyond its tangible assets.
In the context of dental practices, goodwill encompasses the reputation, patient relationships, and overall positive perception of the practice within the community.
Establishing and maintaining goodwill is really what you’re paying for. If you think about it, everything else is a simple purchased asset and you could do a start-up.
The Role of Team Introductions
Team introductions play a pivotal role in setting the tone for a successful transition during a dental practice acquisition. When you’re introduced to the existing team, it fosters a sense of continuity and reassurance for both the team and patients.
This introduction is an opportunity to showcase your commitment to maintaining the quality of patient care and the positive culture of the practice. It’s also a chance for you to let the team know you want them on this ride with you.
Trust me, they’re worried about that!
Building Trust and Confidence
Introducing you to the dental team is more than a mere formality. It is a chance to build trust and confidence among the team, who are integral to the success of the practice.
When team members feel valued and informed about the changes, it creates a smoother transition, minimizing resistance and fostering a positive work environment.
Meaning, that just like a start-up, you can come out of the gate with changes you see fit.
Preserving Patient Relationships
Patients often develop strong bonds with their dental care providers and the supporting team.
Meeting patients is an opportunity for you to convey your commitment to maintaining the high standards of care that patients have come to expect.
Cultural Integration
Every dental practice has its unique culture and way of operating. Introducing you to the existing team allows for a better understanding of the practice’s culture and facilitates a smoother integration.
A harmonious cultural transition is crucial for maintaining the positive atmosphere that patients and staff are accustomed to. In fact, cultural shifts are one of the very few reasons I’ve seen practice transitions go sideways.
The Consequences of Neglecting Team Introductions
Buyers who neglect the importance of team introductions risk facing several challenges that can have long-lasting effects on the goodwill of the practice.
In Review
- Without proper introductions, the existing team may feel disconnected and uncertain about their roles in the new structure. AKA, what I shared above. Their job uncertainty leads to decreased productivity, increased turnover, and a negative impact on patient care.
- Patients who are not introduced to the new buyer may experience anxiety about potential changes in their dental care. This uncertainty can lead to patient attrition as individuals seek care elsewhere, impacting the practice’s revenue and reputation.
- Cultural differences between the buyer and the existing team may arise if there is no deliberate effort to introduce and integrate everyone. This misalignment can result in a fractured work environment, hindering the practice’s ability to provide consistent and high-quality care.
In Conclusion
Be an advocate for what is best for YOU, the buyer. It is important for you to get to know the existing team and to have a full understanding of the practice you are purchasing.
This may be a crucial deciding factor and tell you more about your future in this practice than the numbers alone.
